Topping up your self-employed NIC contributions

Source: HM Revenue & Customs | | 14/03/2019

In many circumstances it can be beneficial to make voluntary Class 2 National Insurance Contributions (NICs) to increase your entitlement to benefits, including the State or New State Pension if you are self-employed.

You might want to consider making voluntary NICs because:

  • you’re close to State Pension age and do not have enough qualifying years to get the full State Pension
  • you know you will not be able to meet the qualifying years you need to get the full State Pension during your working life
  • you’re self-employed and do not have to pay Class 2 contributions because you have low profits or live outside the UK, but you want to qualify for some benefits

There is also a specific list of jobs where class 2 NICs are not payable. These are:

  • examiners, moderators, invigilators and people who set exam questions
  • people who run businesses involving land or property
  • ministers of religion who do not receive a salary or stipend
  • people who make investments for themselves or others - but not as a business and without getting a fee or commission

If you fall within any of these categories it can be beneficial to get a State Pension forecast and examine whether to make voluntary Class 2 NICs to make up missing years.



Contact Us

8-10 Queen Street
Seaton
Devon
EX12 2NY
Tel: 01297 624188

Also in Exeter

13 West Street
Exeter
Devon
EX1 1BB
Tel: 01392 823999

 

Cookie Policy

Latest News

Keep abreast of Brexit news
20/03/2019 - More...
As the Brexit date fast approaches, it seems the only thing we can say with any certainty is that uncertainty continues

Present tax-free company benefits
20/03/2019 - More...
The list of company benefits that can be provided tax-free to employees is quite short. However, some of the benefits

Changes to VAT IT systems if no-deal Brexit
20/03/2019 - More...
In a letter being sent to businesses across the country, HMRC has published the following information on the effect a

News Search


Newsletter

With our newsletter, you automatically receive our latest news per e-mail and get access to the archive including advanced search options!

» Sign up for the newsletter
» Login